Home – New Forums Logistics Import Club Idea

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  • #966881
    Ramps
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    I have been wondering about this for a little while. I have an idea in my mind, which I admit I feel would be difficult to put together nevertheless I will put it up for discussion.

    If people in this forum got together and created state based import clubs, then we could all use one customs broker. This could probably allow the group or groups to negotiate better prices for customs services. Does anyone have an opinion on this as an idea.

    #1021659
    Janelles1
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    Ramps, post: 25621 wrote:
    I have been wondering about this for a little while. I have an idea in my mind, which I admit I feel would be difficult to put together nevertheless I will put it up for discussion.

    If people in this forum got together and created state based import clubs, then we could all use one customs broker. This could probably allow the group or groups to negotiate better prices for customs services. Does anyone have an opinion on this as an idea.

    I think its a great idea… as interestingly I have seen it being done with a number of big importers – which is how they get the best deals from Suppliers and freight forwarders – eg. they piggyback on each other so to speak) . I am currently at the planning stage of a similar but different business concept, joining small business and individual importers – but also allowing groups to negotiate better prices from suppliers as well as freight rates etc (group buying power etc… Anyway, I have been in the freight forwarding / customs industry for a number of years so I have quite a lot of knowledge in that respect but I would love to be able to extend it by trying my hand at sourcing quality suppliers etc – I am a qualified Customs Broker in NZ but have also had experience in Customs clearing in Australia in both Imports & Exports, and currently work as a Customs Compiler. Perhaps we could chat some more if you are serious about starting something like that up, maybe we could join forces. Two heads are always better than one I say :-), Cheers, Janelle

    #1021660
    Ramps
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    Its an idea pretty much still in its infancy. Lots of ideas running through my mind, lots of options, some are more difficult than others.

    We could all try and all organise ourselves into state based or regional groups and then try and create this opportunity- this will take lots of time and alot or resources.

    We could try and get flying solo as a forum to try and become a conduit for all of us, accessing 1 customs broker. I know I would be prepared to pay a small annual fee to flying solo if they could organise a customs broker of choice for this site (then any of us who have paid up an annual fee can get access to the cheaper customs broker services.

    A small group in here could try and put together a group that works at trying to create this project and then downstreams the information to all interested members.

    Anyone who has any suggestions on this, please feel free to contribute. As importers we face some big hurdles, currency, customs duties, gst, freight forward and local transport delivery. If we can get together and organise ourselves maybe we can cut some costs especially in terms of the freight forward, local transport and custom brokers fees.

    #1021661
    Janelles1
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    I could see the group concept working maybe getting better freight rates by forming a collective group for the freighting side of it or for collectively bargaining for cheaper unit prices off the supplier (as that would mean a win-win situation for both parties) ie. the supplier gets to sell more, and the freight forwarder gets to fill a whole container or more so it works out cheaper than sending smaller lots…

    …but for customs brokerage, it may work in the way of providing customs tarrif advice or consultancy type of service to members but for the customs clearance itself there would need to be additional fees to make it viable for the broker, as each import consignment has to be declared seperately – and being that there are serious legal risks involved in declaring to customs etc an annual fee for an unlimited number of customs clearances wouldn’t really be a win situation for the customs broker (especially when some individual clearances can take hours to compile and clear – and some suppliers/importers can be dodgy with paperwork… so a small annual fee would be like a customs broker on McDonalds wages…

    #1021662
    Robert Gerrish
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    Hi Ramps and Janelle

    We’ll certainly keep an eye on this thread and of course are happy that you explore via the forums. It’s unlikely we’ll get involved in any other capacity at this stage, but don’t let that stop you asking for assistance. If we can assist, we will.

    Robert

    #1021663
    Burgo
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    There is an area already called GROUPS.

    You could actually start your Import Club in there and develop it into something that becomes beneficial to its members.

    Thats just a thought.

    #1021664
    Ramps
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    Thats a good suggestion, but I placed this thread in here to see if theres any real support for it. Theres no point in spending alot of time on it if theres only 2 or 3 of us. For this concept to have any chance we would need to create groups of atleast 10 importers. So for now, I would like to see if theres interest and for that to be shown in this thread.

    Anyone interested just put your username and state at the end of your post.

    for example

    Ramps (Victoria)

    In this way we can get a gage to see what level of support there is in individual states and regions. Some regions may have lots of support and in some others less so.

    #1021665
    SimonC
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    An excellent idea some tips to note

    Most forwarders make money off the extra add on fees not the freight rates they dont fluctuate too much as they go upstream to the shipping lines.

    For consols never fall for a low per KG rate always get the fees documented prior to shipping.

    Caution of who you want to consolidate goods with out of known drug areas

    Caution on products you wish to consolitate with example, fumigation and extra fees will apply.

    Look up FTA Free trade agreements – & the duty concessions available !!!

    Know the customs threshold for smaller shipments in the past the guideline was $250 , now its close to $1000. Never under declare customs are not stupid when they compare manifests

    Watch out for China new year and plan around it , plan for NOV and DEC peak and also end of fin year import peak

    Understand the Inco terms especially ex works and FOB:

    Inco Terms
    Organisations involved in international freight transactions will find the below explanations of international standard
    terms useful in outlining risks and responsibilities between buyers and sellers.

    EXW (Ex Works)
    The buyer bears all costs and risks involved in taking the goods from the seller’s premises to the desired destination.
    The seller’s obligation is to make the goods available at his premises (works, factory, warehouse). This term represents
    minimum obligation for the seller. This term can be used across all modes of transport.

    FCA (Free Carrier)
    The seller’s obligation is to hand over the goods, cleared for export, into the charge of the carrier named by the buyer
    at the named place or point. If no precise point is indicated by the buyer, the seller may choose within the place or
    range stipulated where the carrier shall take the goods into his charge. When the seller’s assistance is required in
    making the contract with the carrier the seller may act at the buyers risk and expense. This term can be used across
    all modes of transport.

    CPT (Carriage paid to.)
    The seller pays the freight for the carriage of goods to the named destination. The risk of loss or damage to the goods
    occurring after the delivery has been made to the carrier is transferred from the seller to the buyer. This term requires
    the seller to clear the goods for export and can be used across all modes of transport.

    CIP (Carriage and insurance paid to.)
    The seller has the same obligations as under CPT but has the responsibility of obtaining insurance against the buyer’s
    risk of loss or damage of goods during the carriage. The seller is required to clear the goods for export however is only
    required to obtain insurance on minimum coverage. This term requires the seller to clear the goods for export and can
    be used across all modes of transport

    DAF (Delivered at Frontier)
    The seller has fulfilled his obligation when the goods have been made available, cleared for export, at the named point
    and place at the frontier, but before the customs border of the adjoining country. The term ‘frontier’ may be used for
    any frontier including that of the country of export. Therefore, it is important that the frontier in question be defined
    precisely by always naming the point and place in the term. The term is generally used when goods are to be carried
    by rail or road, but may be used for any mode of transport.

    DDU (Delivered duty unpaid)
    The seller is required to deliver the goods to the named place in the country of importation. The seller is responsible
    for costs and risks involved in bringing the goods to the import destination (excluding duties, taxes) and arranging
    customs formalities. This term may be used irrespective of the mode of transport.

    DDP (Delivered duty paid)
    Similar to DDU however in this case the seller is responsible for delivering the goods in the named place in the country
    of importation, all costs and risks in bringing the goods to import destination including duties, taxes and customs
    formalities. This term may be used irrespective of the mode of transport.

    FAS (Free Alongside ship)
    The seller has fulfilled his obligation when goods have been placed alongside the vessel at the port of shipment.
    The buyer is responsible for all costs and risks of loss or damage to the goods from that moment. The buyer is also
    required to clear the goods for export. This term should only be used for sea or inland waterway transport.

    FOB (Free on Board)
    Once the goods have passed over the ship’s rail at the port of export the buyer is responsible for all costs and risks
    of loss or damage to the goods from that point. The seller is required to clear the goods for export. This term should
    only be used for sea or inland waterway transport.

    CFR (Cost and Freight)
    The seller must pay the costs and freight required in bringing the goods to the named port of destination. The risk
    of loss or damage is transferred from seller to buyer when the goods pass over the ship’s rail in the port of shipment.
    The seller is required to clear the goods for export. This term should only be used for sea or inland waterway transport.

    CIF (Cost, Insurance and Freight)
    The seller has the same obligations as under CFR however he is also required to provide insurance against the buyer’s
    risk of loss or damage to the goods during transit. The seller is required to clear the goods for export. This term should
    only be used for sea or inland waterway transport.

    DES (Delivered Ex Ship)
    The seller has fulfilled his obligation to deliver when the goods are available to the buyer on board the ship uncleared
    for import at the main port of destination. The seller is responsible for all costs and risk of loss or damage in bringing
    the goods to the named port of destination. This term should only be used for sea or inland waterway transport.

    DEQ (Delivered Ex Quay)
    The seller has fulfilled his obligation to deliver when the goods are available to the buyer on the quay (wharf) at the
    named port of destination, cleared for importation. The seller is responsible for all risks and costs including duties,
    taxes in making available the goods at the port of destination. This term should only be used for sea or inland
    waterway transport.

    * Above inco terms to be used as a guide only !

    For Domestic distribution utilise tools available to make sure you are getting a good rate

    Here is our calculator to help Aussie business out

    Interstate Couriers

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